I. Introduction
WIND-DIESEL hybrid power systems considerably reduce the need for storage of fuel, fuel consumption cost, and greenhouse gas emission as opposed to their conventional diesel only counterpart. With increasing introduction of wind generators in wind-diesel systems, system stability is becoming a crucial issue to the power company. Due to the intermittent characteristics of wind energy the most difficult issue is to assess the capacity adequacy of the hybrid system in addressing the electricity demand of the consumers. However, the well developed techniques applied to conventiona lgeneration system reliability evaluation, associate fixed capacity outputs to generating units and cannot be readily extended to include wind energy sources that have highly fluctuating capacity levels [1].